What is a Home Warranty Letter?

home warranty letter

A home warranty letter is a piece of marketing mail sent by home warranty providers to new homeowners. These letters tend to arrive after you have recently purchased a home, and are intended to alert you to the possibility that your home may not be covered by a home warranty.

In this article, we’ll walk you through the reasons you might have received a home warranty letter, address the common language in these letters and answer a few frequently asked questions about them:

Why Did I Receive a Home Warranty Letter?

Chances are that you received a home warranty letter soon after moving into a new home. Much like you receive extended car warranty letters when you pay off your vehicle, purchasing a new home alerts certain mailing lists that you may be in the market for a home warranty. 

Keep in mind that receiving a home warranty letter doesn’t mean that you are uncovered by a home warranty. Companies receive only a little information on new homeowners, which triggers the mechanism to send a marketing letter to your home. This can happen even if you already have an active home warranty from the previous homeowner.

Why is the Language in My Home Warranty Letter So Urgent?

Many people have mentioned how they find the language in a home warranty letter to be forceful. But there is a good reason for this tone. If your home is not covered by a warranty, you are putting yourself at risk to replace expensive appliances and home systems out of pocket.  

The urgency in these letters is intended to cause you to check on whether or not you have a home warranty. Home warranties ultimately protect you from costly breakdowns and can save you thousands of dollars. Without such a policy covering your appliances, you’re at risk of severely disrupting your budget and putting your finances in jeopardy.

How Did a Home Warranty Company Receive My Information?

Local and state governments keep public records that let companies know when a new resident moves into town. These publicly available lists are integrated into the marketing arms of home warranty companies, which automatically send out a letter when a home is purchased.

These same lists are used by many different companies for their marketing initiatives. For example, you may recall that the last time you moved to a new location, you received hundreds of coupons in the mail. These companies received your information in the exact same way that a home warranty company did. 

It’s worth noting that the information that home warranty companies receive contains very few details. In some cases, it may not even contain your name. As a result, the letters you receive from home warranty companies tend to be very generic and may be sent to you even if you already have a home warranty.

Home Warranty Letter FAQs

How to identify home warranty scams

To identify a home warranty scam, you should explore the websites and reviews of each company you receive letters from. A good company will have a detailed website and better reviews from actual customers. Keep in mind that many home warranty companies suffer negative reviews because of unsolicited letters.

Are home warranty letters legal?

Yes, sending home warranty letters is totally legal. In the eyes of the government, a home warranty letter is no different from any other type of promotional mail.

Find Out How a Home Warranty Plan Can Help You

Now that you know a little more about home warranty letters and how they work, you can start to look into home warranty plans! At American Home Protect, we’ve worked hard to provide people like you with the best home warranty plan possible.

Explore our home warranty plans, read our blog or get a free quote today to find out how our home warranty can help you!

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Are Home Warranty Letters a Scam?